BART mulls fare hikes / 10% increase is needed, staff says

Published 4:00 am, Friday, April 11, 2003

With ridership and sales tax revenues still sagging, BART officials are suggesting another 10 percent fare increase to keep the transit system financially on track.

In the first public discussion of the budget for the fiscal year that begins July 1, BART's staff suggested Thursday that the agency's board of directors raise fares on Jan. 1 as part of a plan to deal with a $38.8 million budget deficit.

"It would bring fares more in line with inflation," said Rob Umbreit, BART's budget manager.

BART fares have fallen behind the consumer price index since 1997, when the last of three annual fare increases totaling 45 percent was levied. That was the only fare increase until January, when fares went up 5 percent as part of a budget-balancing plan.

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Several directors have said they would back a plan that called for small, regular fare increases -- tied to increased operating costs -- to be assessed every two or three years.

But the idea of a 10 percent fare increase to help catch up with inflation was greeted with caution and skepticism by directors worried about driving away even more passengers.

"In some ways I do agree with raising fares, but maybe we're starting to price ourselves out of the market," said Director James Fang of San Francisco. "While a 15 percent increase over two years might be needed, we're dealing with a complex economic environment where people might just decide to get in their cars and drive to San Francisco."

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A 10 percent fare boost would push the price of a trip to downtown San Francisco from Pittsburg/Bay Point station from $4.55 to $5; from Walnut Creek from $3.60 to $3.95; from Dublin/Pleasanton from $4.25 to $4.65, and from San Leandro from $3.10 to $3.40.

Commuters interviewed at the Montgomery and Powell stations Thursday night weren't thrilled at the prospect of paying more for their commute, but said a 10 percent increase wouldn't drive them to, well, drive instead of taking BART.

"That's a lot of money," said Lily Chang, a computer programmer from Orinda,

when informed her round-trip fare could rise from $6.30 a day to $6.95.

"But I have to take BART," she said. "I don't have a choice. Traffic across the Bay Bridge is terrible, and parking costs too much. What can I do?"

John DeSerio, a ballet dancer from Berkeley, said he, too, would keep taking BART -- "this is the best and most environmentally sound way for me to get to work," he said -- but was concerned that others would resort to other ways of commuting.

BART's budget planners suggested the 10 percent fare increase instead of service reductions or a smaller fare boost and service cuts. The transit system would also cut its payroll by 126 jobs, but only about 28 employees would face layoffs. Most of the jobs would be lost through attrition or through transfer to the San Francisco Airport extension, expected to open at a still-unannounced date later this year. Operation of the SFO extension will be paid for by San Mateo County.

BART would also reduce about $15 million in expenses, eliminate a $13 million transfer of operating funds to capital projects and use $3 million in reserves.

Officials from a union that represents BART employees said that the numbers used in the proposed budget were incorrectly based on earlier budgets rather than actual spending and revenues. Using actual figures, they said, would reduce the deficit.

Directors are scheduled to learn more about the proposed budget on April 24,

with at least two more meetings, including a public hearing, before it is adopted in late June.

BART riders got some better news Thursday with the announcement that the system's new ATM-like ticket vending and add-fare machines will be installed in all stations by the end of the year.

The machines, which are easier to use than the old models and allow the purchase of multiple tickets, have been in testing at the Concord station since last fall and are also in use at Fruitvale.

Beginning next month, they will be installed in the 16th Street Mission, MacArthur and Oakland City Center 12th Street stations.